Which US law ended federal control of domestic airline fares and routes in 1978?

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The Airline Deregulation Act ended federal control of US domestic airline fares and routes in 1978.

Signed by President Jimmy Carter on 24 October 1978, the law began removing the Civil Aeronautics Board’s economic regulation of the airline industry. Before deregulation, the board controlled many decisions about routes, fares and market entry.

The law did not immediately eliminate every aviation rule. Safety regulation remained under the Federal Aviation Administration, and the transition away from economic controls occurred over several years. The act instead changed the competitive framework for domestic passenger airlines.

Supporters argued that deregulation would increase competition and lower fares. The period that followed brought new routes and lower prices for many travelers, but also airline failures, industry consolidation and changes in service patterns. It is distinct from laws focused primarily on aviation safety.

Source: Wikipedia · fact-checked Sept. 2026

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